What we’re reading (10/23)
“Fresh Growth Numbers Are Set To Show US Remains Economic Powerhouse” (Bloomberg). “The world’s largest economy probably expanded at the quickest pace in nearly two years during the third quarter on the back of a steadfast US consumer, a challenge for Federal Reserve officials who are debating whether additional policy tightening is needed.”
“Who You Calling Dumb Money? Everyday Investors Do Just Fine” (Wall Street Journal). “The average individual-investor stock portfolio has risen about 150% since the beginning of 2014, according to investment research firm Vanda Research, which began tracking the data nine years ago. That beats the S&P 500’s roughly 140% during the same period. Vanda calculates the average portfolio by analyzing individual investors’ brokerage-account trading activity in U.S.-listed single stocks. The firm’s analysis excludes purchases of exchange-traded funds and mutual funds, along with transactions made through retirement accounts or investment advisers.”
“Treasury 10-Year Yield Breaches 5% For First Time Since 2007” (Bloomberg). “Treasuries rallied, bouncing back from a slide that took the 10-year Treasury yield beyond 5% for the first time in 16 years, as investors start to question whether the economy can withstand current interest rates.”
“Bill Ackman Covers Bet Against Treasurys, Says ‘Too Much Risk In The World’ To Bet Against Bonds” (CNBC). “The billionaire hedge fund manager first disclosed his bearish position on 30-year Treasurys in August, betting on elevated yields on the back of ‘higher levels of long-term inflation.’ The 30-year Treasury yield has risen more than 80 basis points since the end of August, making Ackman’s bet profitable.”
“ESG Investing Is Dying On Wall Street. Here’s Why” (CNN Business). “The market for environmental, social and corporate governance, or ESG, investing is fundamentally broken. The numbers speak for themselves. The cumulative flow of investments into US ESG funds has been flat to slightly negative since the first quarter of 2022, according to data shared exclusively with CNN by Lipper, a financial data provider.”
